In a April 11, 2009 article in Brandweek the former global marketing officer at Procter & Gamble, Jim Stengel is questioned about his upcoming book Packaged Good, his current projects and the state of the industry. In the excerpt of the article below he acknowledges Private Brand as one of the biggest challenges and opportunities facing CPG’s today.
BrandWeek: What are the greatest challenges facing marketers; more specifically, the consumer packaged goods industry today?
Jim Stengel: I don’t think things are going to go back to where they were three years ago. Understanding real consumer trends and being able to look ahead will be very important for consumer packaged goods companies. I think there are two big trends that are going to present the biggest challenges and opportunities:
- Increased acceptance of retailer and private label brands; and
- adding digital to the branding model. How companies work with retailers to have maximum impact on value creation will be an area of interest. This notion of, “What’s the impact of the world going interactive? [adding] digital to the branding model,” that will just continue. The implications of digital for brands will be very profound for who they are and what they’re trying to do in service of consumers. Push advertising will continue to be less and less important. It’s more about helping consumers, serving, on being of utility and there are lots of ways to do that with the Internet.
Will retailers be able to capitalize on this opportunity?
Read the entire article: Stengel: Private Label, Digital Change Game